Adevinta has acquired eBay's classified advertising business for approximately $9.2 billion.

As part of the transaction, eBay will receive $2.5 billion in cash and approximately 540 million Adevinta shares, which would represent an equity stake of approximately 44 per cent, and a 33.3 per cent voting stake.

Jamie Iannone, chief executive at eBay, commented: “This sale creates short-term and long-term value for shareholders and customers, while allowing us to participate in the future potential of the classifieds business.”

Norway-based Adevinta is a global online classifieds specialist, currently operating in 15 countries, with a portfolio that spans 35 digital products and websites.

The classifieds platforms from eBay includes a collection of 12 brands in 13 countries around the world - including Gumtree in the UK. The scale provided by the partnership is expected to create estimated annual synergies of $150 to 185 million within the next three years.

The sale is subject to regulatory approvals, customary closing conditions, including approval by the affirmative vote of holders of at least two thirds of the votes cast at an extraordinary general meeting. The transaction is expected to close by the first quarter of 2021.

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